Marketing complex for the Pyaterochka. Analysis of the activities of the Pyaterochka company and the North-West Division of the FCS Pyaterochka Marketing strategy of the Pyaterochka retail network

Marketing complex for the Pyaterochka retail chain

Range trading network Pyaterochka includes only the most popular products and changes with consumer demand. Multinational corporations set the same prices for all market participants. Moreover, advertising costs account for up to 30% of the cost of branded goods. Meanwhile, Russian manufacturers have relatively small budgets to promote their products, but they have a better price-quality ratio, a more flexible pricing and distribution policy. Research has shown that customer demand for products from Russian brands has grown significantly lately. Therefore, now about 70% of goods sold through the Pyaterochka retail network are Russian-made goods. The share of locally produced goods is increasing, according to data for 2010 it amounted to about 30%.

Assortment matrix of the store in 2010 has undergone significant changes: the share of goods in the low price segment has increased; there was a reduction in the assortment by 15-20% from 2500 - 3500 SKU to 1800 - 2800 SKU (unit of one commodity group, brand, variety in one type of packaging of one container) due to the goods that are in the least demand. As a “soft discounter” store, Pyaterochka is characterized by a predominance of food products - up to 94% of the total assortment.

Pyaterochka continues to develop its own brand (STM).

Purchasing specialists develop a specification for the product, and then contact the supplier firms and agree on their production. The establishment of lower prices for such goods is possible due to savings from the purchase of large batches, insignificant packaging costs, promotion, which is directly responsible for the network, and not the supplier. The chain brand is not used in the private label, which helps to reduce the risk of transferring the negative attitude of consumers towards the brand to the attitude towards the retail network. Examples of the private label Pyaterochka are Vologda Lace (dairy products), Pavlovskaya Ferma (sausages), Groza (drinking water), Vinogor (wine), etc. Since the Perekrestok and Pyaterochka networks are part of the X5 Retail Group, most of their own brands are represented in other chains of the group. For example, in Perekrestok you can buy trademarks of the Pyaterochka chain and, conversely, in Pyaterochka you can buy some brands of Perekrestok. In 2011. it is planned to increase the share of private labels by 40% (in 2010 - 10% of the total assortment). By introducing private labels into circulation, Pyaterochka gives sales an additional impetus and not only increases sales, but also creates new incentives for buyers due to the obvious advantages of such products due to the attractive price-quality ratio.

Pyaterochka practices an effective form of work with suppliers. The company works with 500 suppliers. The network assumes part of the costs of logistics and product delivery, as well as product promotion on the market, freeing the manufacturer from the difficulties associated with the marketing and advertising process. The manufacturer lowers its prices. As a result, the demand for cheaper products is growing, and sales in stores are increasing. The manufacturer, in turn, increases the volume of products and, accordingly, receives additional profit. That is why the main requirements for suppliers are the minimum cost of production, high quality of goods and packaging, adherence to the delivery schedule and convenient logistics.

Purchasing goods and pricing in stores is centralized. Since December 2000, Pyaterochka has united its suppliers into a single information network. There is a purchasing portal on the Internet.

All areas of the company's work - from the most complex logistics operations to the most elementary ones - are described in business processes. They are structured and are part of the informatization and management system. Pyaterochka considers automation and implementation of IT technologies to be its strategic task. Installed in stores one system electronic document management"Pyaterochka +". It was developed by the company's specialists, taking into account all the specifics of the trading network. The system automates and simplifies logistics, procurement, sales and distribution of goods in stores. This allows you to reduce costs, operation time and labor costs by more than 30%. The system allows you to purchase goods for the entire network using e-mail and control the entire process of passing goods from receipt to the warehouse to sale in the store, and also fully guarantees the confidentiality of information and associated electronic contacts. At the same time, the time for placing an order is significantly reduced. This makes the network more flexible and more convenient for suppliers.

The target audience of Pyaterochka is 110 million Russians: 60% women and 40% men; 70% of the employed and 30% of the unemployed; 40-65 + years old, average and below average income, pensioners, employees, workers.

The orientation towards the poor part of the population dictates the following condition: prices must be low. The main indicator for comparison is the small wholesale markets. If in supermarkets the trade margin is about 40%, then in Pyaterochka it is only 10-12%. As a result, products are 10-15% cheaper than retail market, and 20-30% cheaper than in supermarkets and hypermarkets.

These categories of buyers are focused on the basic assortment and low prices, therefore Pyaterochka's pricing strategy is the strategy of the price leader: “100% of the assortment at the lowest prices on the market”. This is possible due to the containment of purchase prices due to: the growing volume of purchases, strict discipline of payments, reduction of payment delays, Maximum efficient use of the available retail space: every square meter is occupied, whether it is a product or an advertising stand. Free retail space is rented. They save on the design and equipment of sales areas, on the number of services for consumers. The costs of product maintenance are also reduced: logistics, delivery, pre-sale preparation, etc. These costs represent approximately 85% of the retail markup. In "Pyaterochka" they are 5 times lower than in the average regional supermarket. Pyaterochka uses its own vehicles. The company even has its own construction division. His work has reduced store building times to four months.

From point of view pricing policy discounters are divided into soft and hard. A rigid format in the classical sense means a room of up to 1000 sq., Goods on pallets, self-service, a minimum surcharge and, as a result, a very low price. Pyaterochka used this format for the first few years after opening, but later abandoned it in favor of a “soft discounter” - a more popular principle of market strategy in Russia due to the fact that today, in addition to the price factor, such factors have a great influence on the choice of a store. as comfort, wide range and complex of additional services.

Labor productivity affects cost reduction no less than anything else. According to the staffing table, 17-20 people work per shift in each store, while in the supermarket there are 60-70. The daily actions of each employee are verified, calculated and typed for more rational use of time. When necessary, employees simply replace each other.

Advertising - in promoting the Pyaterochka retail chain is of great importance. For a new stage in the development of the Pyaterochka chain, the slogan “The closest low prices!” Has been chosen, which most accurately reflects the change in well-known stores. Over the years, the company has already changed its advertising slogan twice: starting in 1999 during the crisis, Pyaterochka focused on the price of goods, working in the format of a “hard” discounter under the slogan “Low prices every day!”.

Gradually, moving into a soft discounter format, the chain offered its customers an additional advantage - guaranteed product quality and “easy” exchange or return of purchased products in case of complaints about the product. The slogan “Quality assurance and low prices!” Was dedicated to this stage.

In 2009, the company launched a store reconstruction program: stores are equipped with new shelving and refrigeration equipment, cash registers, ventilation and air conditioning systems, and lighting.

“For us, not only low prices and quality of goods are important, but also the external and internal appearance of the stores. "Pyaterochka" should be convenient, comfortable and modern; it should be pleasant to shop here. We have entered a new stage of development: stores are getting better and closer to customers. The new advertising slogan reflects these changes, ”says Oleg Vysotsky, Pyaterochka Network Manager.

The same slogan is present in television advertisements and advertisements on various radio stations. The Pyaterochka retail chain often sponsors various radio rooms. For example: weather forecast, traffic situation, etc., which also helps to promote the brand.

An important element in stimulating sales in the Pyaterochka chain is the weekly promotions: Successful purchase, Sale with the Pyaterochka card. The promotion provides for a sale, promotion or promotions non-food items in all Pyaterochka stores.

Requirements for goods in the "Successful purchase" promotion

1. The product must meet certain criteria for this type of product.

2. The period of sale of the product is one week, then its rotation.

3. The action is held in the Pyaterochka network in Moscow and St. Petersburg.

4. Display of goods - on separate equipment at the entrance / exit (depending on the store layout) to the store.

5. The pricing policy for the goods participating in the promotion is below the minimum price level of the local market (St. Petersburg, Moscow)

6. All merchandise unsold per share shall be returned to the supplier.

Since the establishment of Pyaterochka stores, a large number of celebrities and interesting personalities have visited them. In the Pyaterochka chain, promotions are periodically held to promote certain brands. Advertising agencies SAC and Bounty Euro RSCG received exclusive rights to provide staff for such actions. Today the Pyaterochka company is a sponsor of the Russian national football team.

I took over as CEO in November 2015, replacing Stéphane Ducharme, who served for three years. During that period, with the support of the Board of Directors, of which I was a member, the company's management carried out a large-scale program to change the positioning of X5 Retail Group and its affiliated retail chains. The new strategy provided for the formation of a flexible multi-format business model capable of ensuring rapid growth and adaptation to the changing needs of Russian buyers, as well as unswerving adherence to the principles of efficient operation and long-term development.

I am proud to announce that in three years the company has successfully achieved its goals, including in the tense macroeconomic situation of the last one and a half years. Despite the fact that it was in 2015 that X5 managed to achieve record results for the company in a number of indicators, in order to assess the effectiveness of strategic transformations, it is necessary to take into account the achievements of the last three years:

• Revenue in 2012–2015: growth by 64.7% to RUB 808.8 billion.
• Store traffic 2012-2015: up 37.6% to 2.5 billion visits
• Retail space in 2012–2015: an increase of 69.2% to 3,333 thousand m2
• Number of stores 2012–2015: 84.6% growth to 7,020
• X5 stores are represented in nine Russian federal districts, where 88% of the country's population lives.

Having achieved really significant results, the company was able to become the leaders in terms of growth rates, overtaking the ten largest companies in the Russian grocery retail market and the market as a whole in terms of this indicator.

achievement of strategic goals

In 2015, X5 Retail Group achieved significant results in the implementation of five main strategic objectives:

Multi-format operating model: we managed to bring stores in three main formats to the trajectory of sustainable independent growth. Thus, the net retail revenue of the Pyaterochka chain, whose value proposition meets the changing needs of customers better than others, increased by 34.3%; revenue of Perekrestok network - by 12.5%, and revenue of Karusel chain - by 11.6% compared to 2014. Thus, the growth rate of revenue of X5 retail chains significantly exceeded the general indicators for the market against the background of the growth of retail turnover in Russia by only 8.3%.

The retail space of Pyaterochka stores in 2015 grew by 668.4 thousand square meters thanks to the opening of 1,476 new stores, which is a record figure not only for X5, but for the Russian retail market as a whole. The Perekrestok and Karusel chains also continued to expand, adding 75 and 8 new stores, respectively. The net retail space of the Perekrestok chain increased by 68.2 thousand m 2, that of the Karusel chain - by 31.5 thousand m 2.

Improving the value proposition: each of the X5 formats is focused on specific groups of the Russian population and in the reporting year was actively working to adapt its value proposition to the changing needs of buyers and difficult market conditions, which, among other things, allowed us to maximize the share of buyers' expenses and market share companies.

A deep understanding of customer needs and the ability to adapt to ongoing changes would not have been possible without the introduction of IT systems in all departments of the company that allow analyzing the current market situation and giving a more complete picture of customer preferences and demand trends.

Balanced growth: Considering the relatively low representation of modern retail chains in the market, in order to achieve these goals, we must make the most of the potential for organic growth. Our business development specialists of all formats have a wealth of industry experience and are some of the best experts on the market in such matters as determining the optimal location for a store, promptly opening new facilities, and carrying out renovation work with a store closing for a minimum period.

We use the latest analytical technologies to select new store locations and, in addition, have in-house resources to conduct transactions for the acquisition of land and the construction of retail facilities. This allows us to make quick decisions, control costs and open new stores on time. Although the company is focused on organic growth, X5 also has ample opportunities to participate in mergers and acquisitions, which can quickly enter the market in a new region or strengthen its position in the main regions of presence.

Operational efficiency: The sustainable growth that the company has achieved has been made possible by high standards of operations and continuous work to improve its efficiency. X5 Retail Group is one of the largest users of SAP retail solutions: our innovative IT platform enables real-time analysis of data from billions of purchases. Finance specialists play an important role in monitoring and analyzing key performance indicators of our formats and competitor networks, as well as in improving forecasting accuracy.

In addition, we have achieved a significant increase in transport and logistics capacity by improving the efficiency of distribution centers and significantly increasing our own transport fleet.

Highly qualified management: one of critical factors of our success - experienced managers who lead the retail chains of each of the formats and the corporate center X5. As I take over as Chief Executive Officer, I am confident that the company will not slow down its growth rate thanks to the first-class people who, along with me, lead X5 Retail Group. During the several months that I worked with Stéphane Ducharme during his transition to the position of Chairman of the Supervisory Board, I was amazed at the highest level of professionalism at X5.

industry situation

Despite a significant deterioration in most of the main economic indicators in Russia, our company managed to achieve significant growth in the reporting year. In our opinion, the difficult economic environment will continue throughout 2016 and early 2017.

Prices for domestically produced products will continue to rise, while real wage growth will slow down or even be replaced by a decline. This leads to a reduction in the share of food spending in the shopper's budget and influences the behavior of consumers who try to make every shopping trip less expensive, look for the best deals, choose cheaper products and postpone large purchases.

Such trends complicate not only the company's work, but also the situation in the retail sector as a whole. However, X5 is ready for such difficulties: our multi-format operating model allows us to cover various social classes of the population of Russia, and constant work on optimizing the value proposition of retail chains makes it possible to meet the changing needs of customers from each class.

X5 strives to provide every Russian with the opportunity to buy groceries in modern stores that guarantee access to quality goods at affordable prices, and this is becoming our main advantage, especially when working with consumers who have been most affected by negative changes in the economy. Therefore, we are increasing the number of promotions and expanding the range of goods in the lower price segment, and, as part of supporting the most vulnerable groups of buyers, retirees are now offered the opportunity to purchase socially significant products at special prices that do not cancel the discounts already provided to them in our stores.

In the long term, we are optimistic about the development of the Russian retail market, as traditional retail formats and small regional chains are gradually giving way to leading market players.

perspectives

Despite the challenging economic environment, X5's 2015 results significantly outperformed those of the ten largest Russian retailers and the market as a whole, while maintaining profitability at target levels. In Q4 2015, we ranked first among publicly traded companies in terms of net retail revenue growth, creating an excellent base for strengthening the company's position in 2016.

The current market environment for us is a time of new opportunities that we plan to effectively use in the future for strategic growth and further development companies.

To date, we have already achieved significant success in transforming our business, but we do not plan to stop there. Among our strategic priorities are improving the operating model, further increasing operational efficiency, improving value propositions, and, of course, maintaining a leading position in the market in the context of its transition from a traditional to a modern trading format.

One of the most important tasks for me personally is the development of the X5 corporate center, not only in terms of improving the efficiency of managing our brands, but also in the context of expanding its capabilities to use the potential of the current situation in the sector with maximum benefit for the company.

We have modernized the IT infrastructure and will continue to implement innovative technological solutions in all divisions of the company, which should positively affect both our performance indicators and the accuracy of forecasting the preferences and behavior of Russian consumers. We will also continue to develop our transport and logistics infrastructure, which will allow us to achieve additional efficiency gains.

As the business grows and adapts to the needs of our customers, we work for the benefit of all stakeholders: buyers receive the best value proposition, suppliers - the ability to sell goods through our large retail chains and shareholders benefit from participating in the sustainable growth of a business of this magnitude.

I would like to thank once again our customers, whose loyalty is the key to our success, as well as suppliers, shareholders and members of the Supervisory Board of the company for the support they have provided us throughout the year.

In addition, I would like to express my gratitude to the management and the entire team of X5 Retail Group for their highly professional work and responsible attitude to the tasks set in the past year. Our employees are the basis for the success of X5 Retail Group today and in the future, and I am grateful for the opportunity given to me to work in a new position in just such a team to create and develop the largest food retailer in Russia.

Igor Shekhterman

Chief executive officer

Analysis of the activities of the company "Pyaterochka" and the North-West Division of FCS "Pyaterochka"

Primary analysis of the activities of Pyaterochka and the North-West Division

It was decided to take the North-West Division of Pyaterochka as an object for research. To begin with, let's give a basic description of the company's activities as a whole. Then, in this and the following paragraphs, we will go directly to the description of the North-West Division.

The federal retail chain Pyaterochka is the largest Russian chain of grocery stores near the house. Pyaterochka was founded in 1999 by Andrey Rogachev and Alexander Girda, at the same time the first stores of the retail chain were opened in St. Petersburg. In 2001, Pyaterochka entered the Moscow market. In 2003, Pyaterochka opens the largest distribution center in the northwest of Russia. In 2004, the 100th Pyaterochka store was opened. In 2005, Pyaterochka launched an IPO on the London Stock Exchange and acquired 18 Kopeyka stores in St. Petersburg and 25 stores of the same chain in Moscow. In May 2006, Pyaterochka and Perekrestok merged and the merged company was renamed X5 Retail Group N.V. In 2007, X5 announces the opening of its first own economy class supermarket "Pyaterochka" in the Nizhny Novgorod region. In 2009, Pyaterochka announced a new strategy for the lowest prices on the market. In 2010, buyers recognized Pyaterochka as the # 1 brand in Russia and 1000 Pyaterochka was opened. In 2013, rebranding started, as well as a change in positioning and a large-scale program of renovation of the retail network. In 2014, the Pyaterochka retail chain announced the opening of its 4000th store. As of May 2016, the total number of Pyaterochka supermarkets is 6,631. Net retail revenue for 12 months of 2015 - 585.4 million rubles. The share in X5's net retail revenue in 4Q 2015 is 73%. The federal retail chain Pyaterochka is managed by X5 Retail Group. The X5 Retail Group network includes Perekrestok supermarkets, Karusel hypermarkets and Express stores, as well as distribution centers (DCs) and trucks. There are 22 Pyaterochka distribution centers throughout Russia.

The management structure of Pyaterochka consists of:

Divisions (branches, regional distribution)

Clusters

Bushes (group of shops)

The shops

The organizational structure of Pyaterochka, shown in Figure 5, contains:

Figure 5 - Organizational structure of Pyaterochka

The Pyaterochka company was named so because it adheres to the following five principles in its work:

• 1. High quality goods;
• 2. Low prices;
• 3. Wide stable assortment;
• 4. Best store location;
• 5. High standard quality of service.

The company declares the following goals:

1. Focus on the consumer.

Strives for leadership in its market segment, offering products in demand at the best prices. In order to maintain the loyalty of regular customers and attract new ones, investments continue to increase both the attractiveness of stores and the quality of service.

2. Improving operational efficiency.

Leadership of the company is made possible by continuous work to improve efficiency. The strategy for increasing the efficiency of the Company's operating activities implies the introduction of international best practices, increased labor productivity, modernization of the sales infrastructure and information systems in order to optimize supply chain management and better use the advantages of scale.

• 3. Maintaining market leadership with motivated employees.
• 4. Organic development in the main and other development regions, support for local producers and the economy.

Mission of the company: a satisfied customer.

The vision of Pyaterochka is to be the best in what you do.

The main values ​​of the company are honesty, efficiency, partnership.

The elements of corporate culture are:

• 1. Culture of work in the office and shops;
• 2. Compliance with the rules of training company employees;
• 3. Corporate identity;
• 4. Brand colors (red, white and green);
• 5. Working environment at the facilities of the Pyaterochka retail chain;
• 6. Life according to the laws of the company;
• 7. Company symbols: company flag, anthem;
• 8. Sports competitions;
• 9. Corporate newspaper "News" Pyaterochka.

Pyaterochka continues to work on increasing its assortment base. At the moment, the Pyaterochka network contains about 5300 items.

Pyaterochka continues to actively support the development of domestic production. For example, in its annual report, Pyaterochka showed that the range of goods supplied by domestic producers increased by 15%, while the sales turnover of domestic goods increased by 45%. The main assortment of Pyaterochka is presented in table 2:

Table 2 - Pyaterochka's main assortment:

Pyaterochka carries out various promotions and loyalty programs to support low-income groups of the population. For example, in all Pyaterochka, thanks to the Happy Hours program, there is a 5% discount for pensioners and holders of social cards, and within a variety of daily, holiday and seasonal promotions, discounts on various products can be up to 50%. Within the framework of the program "I am responsible for quality!" Pyaterochka will not only refund the money for the purchased product, but will also offer the same fresh product of proper quality as a gift. In 2015, the Mystery Shopper and Freshness Director programs were launched, which helped to identify problem areas and establish responsibility for the quality of Pyaterochka's products. Consequently, the risk for consumers to buy an expired product has decreased.

The main consumers of Pyaterochka stores are completely different strata of the population of any age with medium, high and low incomes. This is justified by the fact that any person can come to Pyaterochka and meet the amount he expects.

Pyaterochka is trying to make prices as affordable as possible, constantly innovating to reduce costs.

As for the North-West Division itself, its organizational structure, shown in Figure 6, in an enlarged form looks as follows:

Figure 6 - Organizational structure of the North-West Division

Retail sales in the Northwest Division account for 15% of total retail sales. Comparison in terms of retail sales is shown in Figure 7:

Figure 7 - The volume of retail sales by Pyaterochka divisions

After we have considered the main characteristics that relate to both the company as a whole and the North-West Division, we will move on to the analysis of the logistics component of the company and focus on the North-West Division.

Pyaterochka's divisions include: Central Division, North-West Division, Central Black Earth Division, Volga Division, Southern Division, Volgo-Vyatka Division, Ural Division, Volga Division.

In turn, in the North-West Division there are the following clusters (15 clusters): Arkhangelsk, Murmansk, Karelia, Vologda, Pskov, Novgorod, St. Petersburg-LO-Vyborg, St. Petersburg-LO-Vsevolozhsk, St. Petersburg-Kolpino, LO-Volkhov-Tikhvin , LO-Gatchina-Kingisepp, St. Petersburg Center, Tver, Kostroma, Yaroslavl. The cluster map is shown in Figure 8.

Figure 8 - Clusters of the Northwest Division

It should be noted that almost 50% of sales are accounted for by clusters located in St. Petersburg and the Leningrad Region.

Each of the presented clusters has its own organizational structure. Each department represented in this structure is subordinate to the corresponding department in the structure of the Division. The organizational structure of the clusters is shown in Figure 9.

Figure 9 - Organizational structure of clusters

There are 4 distribution centers in the North-West Pyaterochka Division: Utkina Zavod (1), Pulkovo (2), ZTL (3) and KRES (4). A map showing the approximate location of distribution centers of the North-West Division is shown in Figure 10.

Figure 10 - Location of distribution centers of the North-West Division

Each distribution center of the North-West Division is characterized by the maintained temperature regimes and the range of goods with which the work is carried out: "Utkina Zavod" - DRY (main range: juices / water, canned food, chips / crackers, waffles, sweets, chocolate, coffee, etc.), Pulkovo - FROV (main assortment: fruits / vegetables), ZTL - FRESH + ALKO + DRY (main assortment: alcohol, meat, fish, eggs, cigarettes, chocolate, etc.), KRES - ULTRAFRESH (products with a short shelf life) + FROZEN (main assortment: fresh juices, fresh pasta and pizza, ready meals and salads, culinary products with a short shelf life, cut flowers, deep-frozen products, etc.) ...

Each distribution center has an organizational structure as shown in Figure 11:

Figure 11 - Organizational structure of distribution centers of the North-West Division

The North-West Division has 1,017 (at the end of March 2016) Pyaterochka stores. Stores are the main customers of distribution centers.

The very configuration of the Pyaterochka logistics supply chain in the North-West Division is shown in Figure 12.

Figure 12 - Configuration of the Pyaterochka logistics supply chain in the North-West Division

The designations used in the diagram:

• - flow of goods and materials
• - return flow (marriage)
• - information flow
• - cash flow

The logistics network in the North-West Division represents the flow of material assets (goods) that come from the manufacturer to the distribution centers according to the assortment division indicated above. Next, the product is checked for quality. If the check by the quality department gives a positive result, the goods are accepted to the distribution center. Otherwise, the goods are returned to the supplier.

The store places an order for the shipment of the required quantity of goods. The required quantity of goods arrives from the distribution center to the store. In the event of a defect due to the fault of the distribution center (for example, due to non-compliance with the rules for picking or shipment of goods), the goods are returned to the distribution center, depersonalized and disposed of. From the shops, the goods go to the consumer. In the event of a defect caused by the store, the consumer can return the product to the store (for example, due to an expiration date).

There is also an information flow between all participants in the supply chain. For example, in the case of a defect arriving from a distribution center, the stores draw up acts of disagreement on quality or quantity. Further, the acts are considered in the distribution center and decisions are made on the return / non-return of goods to the distribution center. Also, if a defect is found due to the fault of the supplier, the purchasing department contacts the specific supplier and returns the goods. Also above was described the action "I am responsible for the quality!", According to which the buyer can return poor quality product and get cash refund and a gift.

Also included in the above scheme is the cash flow through which cash flows from consumers to stores. It is worth noting here that the scheme does not include outsourcing companies, which are in their own way suppliers for distribution centers, namely, labor suppliers. Thus, according to the results of the activities of outstaffing companies, the distribution center pays for the services rendered. However, if the outstaffing companies fail to comply with the terms of the contract, as well as in the event of a fight / damage / theft of goods, the outstaffing companies pay in an amount equal to the amount of damage caused.

Various IT systems help in the operation of stores and distribution centers, with the help of which the “just in time” principle is achieved, and logistics costs are reduced: GK, NQ, Exceed, SAP, OTD. Let's consider them in more detail.

1. Exceed is a WMS warehouse management system.

At the entrance and exit there are documents regulating the beginning and end of the process. They are organized in the NQ system. NQ is a warehouse document management system.

Pyaterochka's distribution centers are currently using the NQ + Exceed solution.

Exceed WMS automates warehouse business processes: taking goods to the warehouse, placing goods in the warehouse, restocking, picking, shipping and loading for stores. There are also a number of operations that allow you to see up-to-date information about the stocks of the RC.

2. OTD - ORTEC Transport & Distribution (OTD) - software allowing you to plan and optimize routes.

The OTD system was introduced as part of the TMS project. It should be noted that this system was not implemented in all Pyaterochka distribution centers. In the North-West Division, it operates only at the Utkina Zavod distribution center. TMS is the creation of an integrated multi-modular delivery management system for the delivery of goods in the company's supply chains.

The functions implemented by TMS are shown in Figure 13:

Figure 13 - Functions implemented by TMS

The introduction of OTD changes the transportation organization scheme:

• Route planning is automatic
• The flight planning process begins before the picking of shipment orders (PO)

When OTD is introduced, a new transportation organization scheme is created. This diagram is shown in Figure 14:

Figure 14 - New scheme of transportation organization

3. SAP is a management system for all internal processes of the company. SAP system is divided into three main components: SAP ERP - the company's resource management system covers all areas of the financial and management accounting, personnel management, operational activities and service departments of the company, provides full functionality necessary for the implementation of self-service information services, analytics; SAP BI is a complex of analytical applications that provides multidimensional analysis of performance results for forecasting and planning future business performance; SAP BPC is a tool that allows you to form budgets, as well as carry out planning in the context of various business areas, segments and divisions.

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Final qualifying work

Features of the retail marketing mix

Introduction

In market conditions, the organization of management of the marketing activities of the enterprise is of particular importance. The economic uniqueness of each industry or sphere of activity leads to the fact that marketing problems cannot be correctly solved in isolation from the characteristics that characterize this or that sector of the national economy. The trade sector is represented by two separate blocks: wholesale trade and retail trade. There is an increase in competition between retail trade enterprises, both among themselves and with foreign trade networks penetrating the Russian market. The situation is complicated by the fact that products of the same names are sold in many trade organizations.

The seller largely determines how desirable and competitive the product will be, the level of sales of which is determined by the correctly selected market segment, assortment, price and communication policy, as well as the quality of basic and additional services. In this regard, there is a need to develop a marketing complex for a retail trade enterprise, which determines the relevance of this final qualifying work.

The purpose of the final qualification work is to identify the features of the marketing mix in retail and to give recommendations for improving the marketing strategy in the Pyaterochka retail chain. This goal predetermines the setting of the following tasks:

.study the theoretical foundations of the marketing mix;

.identify the features of the marketing mix in retail;

.analyze the use of the marketing mix and give recommendations for improving the marketing strategy in the Pyaterochka retail chain.

The object of the research is the marketing complex.

The subject of the research is the use of a marketing mix at a retail enterprise.

In the course of the study, the methods of comparative analysis, generalization, classification, grouping were used.

When writing the work, statistical data and working materials of the Pyaterochka trading network, monographs by Russian and foreign authors were used: Paramonova T.N., Senina N.A., Brizhasheva O.V. Kotler F., Levy M., Veyti B., materials of periodicals and Internet resources.

This final qualifying work consists of an introduction, three chapters and a conclusion, a list of used literature, annexes and includes 7 figures and 2 tables.

The first chapter formulates the theoretical foundations of the marketing complex, the essence of commodity, price, distribution and communication policies. The second chapter analyzes the features of the retail marketing mix. The third chapter describes the use of the marketing mix using the example of the Pyaterochka retail chain.

1. The theoretical foundations of the marketing mix

Marketing mix is a set of controllable marketing variables that a firm uses in an effort to elicit the desired response from the target market. The components of the marketing mix are: product, price, sales channels, promotion.

In accordance with this concept, companies, as part of their marketing activities, develop and implement product, pricing, sales and communication policies, which are reflected in the four main sections of the marketing plan. The company can vary the parameters of the marketing mix in order to most effectively influence the market, consumers and achieve the goals set within the framework of available opportunities and its understanding of the role of marketing. However, the structure of the marketing complex itself does not change, only the "filling" of its individual elements changes.

1.1 Product in the marketing mix

marketing promotion price shopping

The product is one of the elements of the marketing mix, along with the price, distribution and promotion methods. Product- everything that can satisfy a need or need and is offered to the market in order to attract attention, purchase, use or consumption. These can be not only physical objects, but also services, persons, places, organizations, ideas, etc.

Each individual commodity offered to consumers can be viewed from the point of view of three levels: a product by design, a product in real execution, and a product with reinforcement.

The main level is a product by design, which answers the question, what does the customer actually buy? By design, a product is at the center of the general concept of a product. It consists of services that provide a solution to the problem, or the benefits that the consumer wants to get by buying this product. For example, customers do not purchase drills of a certain diameter, but holes of the same diameter. Therefore, the task of marketers is to identify the needs hidden behind any product and sell not the properties of this product, but the benefits from it.

Then, based on the product, as intended, a product in real performance... A product in real design has five characteristics: quality, properties, appearance, brand name and packaging. And, finally, the creator of the product must build on the product according to the concept and the product in real performance. goods with reinforcementsby offering the consumer additional services and benefits (free shipping, installation, after-sales service, warranty).

Commodity policy requires the adoption of mutually agreed decisions regarding individual commodity items, product assortment and product nomenclature.

At the first stage, i.e. during the development of a product or service, the marketer determines the benefits that this product will provide. Such benefits are transmitted with the material properties of the product, such as quality, characteristics, design. Product quality is one of the most powerful tools that marketers use to position a product in the market. Quality is characterized by two components: level and consistency. The quality level is identical to the ability of the product to perform its functions. In addition to quality level, high quality can also mean consistency in providing consumers with a product of a given quality level.

The next competitive tool used to differentiate a company's products is product characteristics. The starting point is an entry-level skeleton model without any additional enhancements. The company can expand the range of characteristics by adding models of higher levels to the range of products it produces.

The creation of a brand name has a number of advantages for sellers. The brand name becomes the basis for the further development of meaningful meanings or associations associated with a particular brand. A trademark provides legal protection for the unique properties of a product.

Another opportunity to make your product different from others is packaging. The proliferation of self-service has resulted in packaging having to perform many of the tasks previously performed by sellers, from attracting attention and describing a product to making a sale. The final element of a product strategy is after sales support.

Most decisions made about a product range relate to its breadth - the total number of product items. The systematic expansion of the assortment can occur in two directions: due to the actual expansion and due to saturation. Expansion of the assortment occurs when the company increases the number of manufactured goods outside the occupied price range. The company can expand its product range either up or down, or in both directions.

Instead of expanding to the lower or upper end of the market, a company can saturate its product mix by adding new products to it. There are several reasons for product saturation: seeking additional profits, trying to satisfy dealers, trying to exploit excess capacity, trying to become a leading company with an exhaustive range, or trying to close product gaps to contain competitors.

Some companies may offer not one, but several assortment groups of goods that form a product nomenclature. The company's product range has four important characteristics:

.breadth (the number of assortment groups produced by the company),

.saturation (the total number of individual products that make up the assortment),

.depth (number of versions of each brand)

.harmony (the degree of similarity between goods of different assortment groups in terms of their end use, production conditions, distribution channels or other indicators).

The above four characteristics of a product nomenclature serve as starting points when developing a product strategy. Specifically, the company has four ways to expand its operations. She can create new assortment groups of goods and thereby expand her product range. The company can also expand existing product groups or increase the number of variants for each of the existing products. And finally, a company can purposefully achieve greater (or, conversely, less) harmony of products of various assortment groups, depending on whether it seeks to gain a solid reputation in one market segment or in several segments at once.

1.2 Formation of pricing policy

Price is the totality of all values ​​that the consumer exchanges for the opportunity to possess a product, or to use this product. Price is the only element in the marketing mix that serves as a source of income; all other elements represent costs. In addition, the price is the most flexible component of the marketing mix: unlike the properties of the product and the obligations towards the participants in the distribution channel, the price can be changed quite quickly.

There are two main approaches to pricing - cost-based pricing and customer value-based pricing.

The company develops a product, sums up production costs and sets a price that allows you to cover costs and get the planned profit. The task of the marketing department in this case is to convince buyers that the product has consumer value and corresponds to the established price.

Customer value pricing assumes the opposite approach. The company sets the target price based on the estimated consumer value of the product. Thus, pricing starts with the needs of consumers and their perception of value.

The consumer's perception of the value of the good sets the upper bound on the price, while the cost of the good sets the lower bound on the price. However, when setting the price within the specified limits, the company takes into account a number of other internal and external factors. Internal factors that determine pricing include the company's marketing goals, production capabilities of the company, features of its organizational structure, and external factors - the type of market, the nature of demand for it, the behavior of competitors, the degree of government regulation, the economic environment, and the possible reaction of intermediaries.

The principle of pricing a product changes as the product moves from one stage of its life cycle to another. A company launching its product on the market for the first time can choose one of two strategies: “skim the cream” or break into the market.

The skimming strategy is to set a high initial price for the new product to maximize profits from all market segments willing to pay the required price. The use of the “skimming” strategy is advisable only under certain conditions: the quality and image of the product must justify the high price, and there must be a sufficient number of buyers on the market who are ready to purchase the product at this price, competitors do not have the opportunity to easily enter the market with a similar product and abruptly lower the original high price.

Not all companies start their market penetration by setting high prices. Most use the market breakout strategy. In order to quickly attract the maximum number of buyers and win a large market share, they set a relatively low price for the new product, ensuring a high level of sales, which leads to lower costs and allows the company to lower the price even more. To establish low prices, a number of conditions must also be met. The market must be highly price sensitive, the price must be low enough for the company to avoid competition, otherwise the price advantage will be short-lived.

In the process of changing the life cycle of a product, a company usually adjusts its original prices. Price adjustment strategies are presented in Table 1.1.

Table 1.1. Price adjustment strategies

Strategy Description Pricing with discounts and offsets Price cuts to “reward” shoppers who quickly pay full price Differentiated pricing Price adjustments based on differences in consumer, product or location Pricing based on customer psychology Price adjustments to psychologically impact shoppers Pricing to stimulate sales for short-term sales Increase in sales Geographic pricing Adjustment of prices based on the geographic location of consumers Dynamic pricing Continuous price adjustments to accommodate the changing characteristics and needs of individual customers

Sometimes the company is the initiator of price changes (proactive price reduction / increase). A number of circumstances may lead the company to the idea of ​​lowering prices, such as underutilization of production capacities, which requires an increase in turnover, and a decrease in market share as a result of fierce competition. A company can also initiate a price reduction if it wants to achieve a dominant position in the market with the help of low prices. To do this, it either immediately enters the market with prices that are lower than those of competitors, or is the first to lower prices, hoping in the future to capture a market share that will reduce costs due to increased sales.

Recently, many companies, on the contrary, have been forced to raise prices for their products. The main reason for price increases is a systematic increase in production costs and, as a result, leads to a decrease in profit margins, which forces companies to regularly raise prices. Another factor causing the rise in prices is the excess of demand over supply. When a company is unable to meet the needs of its customers in full, it can raise prices, introduce rationed sales of goods, or resort to both at the same time. There are several ways to increase prices: prices can be raised almost imperceptibly by canceling discounts and replenishing the assortment group with more expensive goods, or do it openly. In the latter case, the company must strive to maintain a sense of fairness in any price increase to avoid the problem of losing customers.

The company is not always the initiator of price changes. Quite often, it is forced to only react to price changes made by competitors.

1.3 Formation of distribution policy

Sales channel - a set of independent organizations involved in the process of promoting a product or service from producer to consumer. Distribution channels can be characterized by the number of channel levels (intermediaries who do some work to bring the product and ownership of it closer to the end customer).

Three types of distribution can be distinguished: intensive, selective, exclusive.

Intensive distribution is a marketing method in which an organization seeks to stock its goods in as many retail outlets as possible. Intensive distribution is typical for consumer goods. Exclusive distribution is a marketing method based on the sale of goods of manufacturers through a limited number of intermediaries, who are given the exclusive right to sell in their territory of sale. Selective distribution is a marketing method based on the sale of manufacturers' goods through a limited number of outlets. Selective allocation is intermediate between intensive and exclusive allocation. It allows the company to achieve a sufficiently wide market coverage with tighter control over it and at lower costs than in the case of intensive distribution. The manufacturer can help train reseller personnel and carry out joint promotions.

From an organizational point of view, there are: the usual distribution channels; vertical marketing systems; horizontal marketing systems.

A typical distribution channel is made up of one or more independent manufacturers, wholesalers, and retailers, each of whom, in an independent business, maximizes their profits without considering the possibility of maximizing profits for the channel as a whole. A vertical marketing system (VMS) is a distribution channel structure in which manufacturers, wholesalers and retailers act as a single system.

One of the members of such a channel either owns the others, or has contracts with them, or has sufficient power to ensure full cooperation. There are 3 types of vertical marketing systems: corporate naval forces, contractual naval forces, and administrative naval forces.

The corporate BMC consolidates the successive stages of production and distribution under a single owner who provides overall management of the channel. The contractual CPA consists of independent manufacturing and distribution organizations at various levels of the system, contractually bound for greater savings or better commercial results than could be achieved alone.

A horizontal marketing system is an agreement between several organizations at the same level of the distribution channel on joint actions in order to use the new marketing opportunities that arise. Under such an agreement, organizations can pool their capital, production and marketing resources. The parties to such an agreement can be both non-competing and competing organizations.

The choice of distribution channels is carried out on the basis of economic criteria - comparing the volume of sales with the costs of creating and operating the channel, from the point of view of the ability to control the activities of the distribution channel and adapt it for the sale of new goods or for work on new conditions.

1.4 Communication policy

A promotion package is a specific combination of advertising, personal selling, sales promotion, public relations and direct marketing tools.

Sales promotion - short-term incentive measures to encourage the purchase or sale of a product or service.

Public Relations - building relationships between the company and various contact audiences by creating a beneficial reputation for the company, a positive "corporate image" on the one hand, and eliminating or preventing unwanted rumors and actions on the other.

Personal selling is the oral presentation of a product during a conversation with one or more buyers in order to make a sale.

Direct marketing - the use of various means of communication to direct communication with buyers calculated to get a certain reaction.

Within each category of marketing communications there are specific techniques. For example, advertising can be submitted in print, radio, television, electronic form. In personal sales, trade presentations, exhibitions and sales are used. Sales promotion includes advertising at points of sale, bonuses, discounts, coupons, contests. Trade marketing tools include catalogs, telemarketing, internet, etc.

In response to the question of what is trade marketing, there is still no consensus. For example, J.-J. Lamben is of the opinion that trade marketing takes place at the stage of interaction between the manufacturer of the product and the sellers (wholesale and retail). Here retailers are not considered as competitors or partners in the distribution channel, but as the only customers, thus the scope of use of trade marketing is limited to the contact "manufacturer of goods - store".

R. Morris believes that trade marketing is part of the overall marketing structure of a manufacturing enterprise and its main goal is to ensure a strong brand position in the market, to "push" the product through the distribution network to the consumer. In this case, the sphere of use of trade marketing is controlled by the contact "manufacturer of goods - end user".

V.V. Nikishkin adheres to a different position - when trade marketing consists in the application of marketing tools to end consumers on the part of retailers that are subjects of trade marketing.

Trade marketing can be defined as the marketing of a retail enterprise, which includes the purchase of goods, the formation of an assortment in accordance with customer demand, the organization of the trade process and service to the public, the provision of information to consumers and the provision of additional trade services.

The marketing decisions of the retailer are aimed at attracting the largest number of customers, increasing purchase size and building loyalty to the store. This is achieved through the creation of a "final trade product" ("store formula"), reflecting not only the range of products offered for sale, but also the process of rendering trade services. When making strategic and operational decisions, it is necessary to use a marketing mix that facilitates the formation of a “store formula” and structures the decision-making areas.

In trade, we deal with a finished product, so the main emphasis is not on the product, but on the services of offering and supporting it. It is necessary not only to satisfy the buyer's need (to offer the appropriate product), but also to make this process as easy as possible. This feature of a trading service as a product significantly affects the formation of a marketing mix.

A sales service is a specific retail product. She

includes a lot: this is a service for the formation of a product range that is as close as possible to the needs of consumers, and the opportunities provided to the buyer to get acquainted with this range, choose and purchase what is needed, as well as additional services.

Pricing is not only about the in-store pricing system and

the level of prices in it, but also includes non-price costs of consumers (travel time, queues, emotional costs, etc.).

Distribution assumes two aspects: the location of the store and the choice of forms and methods of sales depending on the target audience, trade assortment, etc.

Sales (primarily contact) personnel is one of the additional elements of the retail marketing mix. Here, not only the appearance of the employee, his qualifications, but also knowledge of the psychology of the consumer are important.

Material environment, or atmosphere in trading floor, due to its intangibility and inconstancy of quality, implies the conditions of the process of acquiring a commercial service (the presence of music, certain lighting, etc.), i.e. everything that has a direct impact on the customer's sense of satisfaction, his mood.

The main feature of the marketing mix is ​​its flexibility, which is expressed in changing the tools in various areas of the economy, depending on characteristic features each of them. This is also the case in retail, where the contact staff and the atmosphere in the sales area have a significant influence on the purchasing decision-making process. Other elements of the trade marketing complex have their own specifics. The use of marketing mix models helps to better and deeper understand the needs of the target market (potential buyers), better adapt your offer to its needs and desires, and therefore, gain a certain competitive advantage and feel more confident in business.

2.1 Product in trade marketing

The specificity of trade from the point of view of marketing lies primarily in the product it offers to the market. A sales service is a special form of a product that is the organization and execution of sales functions by a retailer. The specificity of the trading service - the symbiosis of the product and the service provided for its sale (inseparability from the product) - is a characteristic feature of the retail trade services market. The range of retail functions is very diverse.

It can be conditionally divided into the following groups: assortment formation, risk taking; sale of a product, provision of additional services not directly related to the sale of goods, informing market participants.

The formation of the assortment includes the implementation of such important functions as the purchase of goods, their transportation and storage, the creation of an assortment stock, sorting of goods and pre-sale preparation of goods. The result of the successful implementation of this group of functions is the constant availability of the goods necessary for the consumer in the sale in the required quantity.

Taking risk means that the retailer is responsible for the assortment offered for sale, i.e. monitors compliance with storage conditions and terms of sale, quality of goods (in the course of proper use, there will be no damage or harm to the health of the consumer), etc. In addition, the store provides certain guarantees to its customer.

Selling a product means equipping the premises set aside for a trading floor, organizing the display and providing an opportunity to get acquainted with the offered assortment, organizing the purchase and sale process, and performing financial transactions for the sale of goods. Thus, in the course of the sale of a trade service, there is a change in the forms of value (exchange of goods for money).

The provision of additional services not directly related to the sale of goods includes services such as free or paid parking, the possibility of pre-ordering, delivery of goods, etc. In addition, certain forms of consumer lending are possible here: deferred payment, return of part of the amount paid after a certain time, etc. The forms can be very diverse and overlap with the sales promotion activities of the retailer.

The group of functions of informing market entities involves the collection and provision of information about the product offer, consumer qualities of the product, as well as about the specifics of demand, consumer behavior. A retail trade service, like any service, has certain characteristics that are commonly called "4H": intangibility, inseparability from the source, quality inconsistency and non-persistence.

The intangibility of a commercial service is expressed in the fact that the client cannot "hold it in his hands", it has no shape, color, smell or taste. It is difficult for a consumer to assess the quality of a service before its immediate provision, which determines a situation with a high degree of uncertainty and risk, and, consequently, significantly increases the number of irrational factors influencing the choice of the buyer. In an effort to reduce this risk, potential consumers of trade services preliminarily assess the external signs of its quality and level, namely: the location of the store, its atmosphere, staff behavior, and its appearance.

Overcoming intangibility is possible with:

brand / store brand development;

active use of public relations techniques;

development of "long-term" relations with the client (card systems,

accumulation of information);

development of the personnel uniform image;

approach to the interior and atmosphere of the trading floor and shop as a material (physical) proof of the quality of the trade service.

Inseparability from the source. The sales staff is an integral part of the service provided, which makes certain requirements for him professional qualities, appearance and communication skills. Thus, the responsibility for the provision of the shop's sales service rests entirely with its sales staff. To overcome the negative aspects of this feature of the retail trade service, you can:

clear staff motivation;

standardization of the sales process (breakdown into stages), constant study of possible critical situations, staff training;

creation of bases for systematizing the experience of successful and unsuccessful

contacts.

Inconsistency of quality. The trade service provided by the store's sellers / consultants may differ in quality depending not only on the person providing it, but also on the mood of a particular person, the period of his life.

To overcome the variability of the quality of retail trade services, you can:

building a quality control system for the rendered trade service;

tracking customer satisfaction with the quality of the service received.

Non-persistence. A trade service cannot be stored, stored or stored. This property creates certain problems in the face of uneven demand. For example, during peak hours, staff are usually in short supply. Engaging a large number of people to work dramatically reduces the efficiency of the business process due to downtime during periods of low demand for store services.

Overcoming non-persistence allows:

mobility, interchangeability of staff at peak times (for example, sales assistants in the daytime can sit down at additional cash desks);

active introduction of self-service into the sales process;

regulation of the level of demand by changing the price of goods (the size of the trade margin) during the peak of activity / passivity of buyers.

Ancillary product - services or goods that are required to use the main product. From the point of view of retail trade, the role of the accompanying product is the actual trade service of the store, including the method, form of trade, service procedure, etc. Thus, a retail companion product reflects the minimum set of expectations of a potential buyer.

An additional product, unlike a related product, is not necessary in the process of using the main product. Relatively speaking, this is a seller's offer in excess of what the consumer expects, or in addition to what is familiar to him. Within the retail trade, additional trade services, which the customer receives on demand, act as a complementary product. This can be special (for example, gift) packaging of goods, delivery, obtaining a consumer loan, etc. However, what is a complementary product for one trading format often appears as an accompanying product for another. For example, the quality of a shopping service provided by a supermarket is incomparable to what a consumer receives when purchasing a product on the open market.

The product in the broader sense reflects all the benefits that the buyer receives by purchasing the proposed product. It includes not only a certain product and services for its acquisition and operation, but also the conditions for this acquisition. From the point of view of retail trade, a trading service in the expanded sense includes, in addition to the above, indicators of the availability of a given product (trade service), the atmosphere of its purchase, characteristics of the communication of a potential buyer with sales (contact) personnel, and interaction of buyers with each other.

Thus, making clear marketing decisions at all levels of the product offered for sale is the definition of a certain set of attributes of the provided trade service, which is often called the "store formula". With strict adherence to all criteria for the competitiveness of a trading service for a given market segment (adherence to the “store formula”), the retailer has a stable business.

2.2 Retail pricing

The marketing mix tool "price" includes issues related not only to the cost of goods sold, but also to other costs of the buyer. This refers to the time, the cost of travel, the emotional costs that arise in the process of making a purchase. Thus, the price means not only the cost of the product, but also its value to the consumer. The pricing strategy should be consistent with the retailer's positioning, competitive behavior and other elements of the marketing mix, and should also take into account the manufacturer's pricing strategy used to achieve its goals.

Retail pricing is based on two main methods: cost-oriented, market-oriented. Cost orientation involves the determination by a retailer of the selling price of a product as the sum of its purchase value and a fixed percentage to it. When focusing on the market, prices are set based on the perception of the willingness of buyers to pay for a given product. The main advantage of the cost method is that it allows you to achieve the target level of profit. It is fast, mechanical, and relatively simple. The advantage of the market method lies in its linkage to the marketing concept, i.e. it takes into account both the desires and the possibilities of the buyers. However, the practical implementation of the market method is fraught with difficulties, especially in trading companies, the range of which includes thousands of trading units, each of which requires individual pricing decisions. The optimal solution can be achieved by combining cost and market approaches, when the first becomes the basis of the pricing strategy, and the second - a way to attract buyers.

The goal of a pricing strategy is to find the right balance between the interests of the consumer and the interests of the company. In addition, the price should take into account the situation in a competitive market. In today's retail market, there are two opposing pricing strategies: daily low prices (DLC) and high / low prices.

Retailers using the ESC strategy emphasize that their retail prices are constantly somewhere between the usual price level and the level of sales by competitors, and they do not always offer the cheapest products. At certain points in time, the price may be higher than buying at a sale at a competitor's store or in the wholesale market.

The advantages of this strategy: the threat of price wars is reduced, because buyers, realizing that prices are at an acceptable level, increase the one-time purchase volume and visit the store more often; the need for advertising decreases, because low prices consistently attract buyers; profits may increase as the store is abandoning the practice of significant discounts adopted in the high / low price strategy. The difficulty in implementing the ESC is that low prices must be constantly maintained, i.e. clothing items should be sold cheaper than in department stores, and conventional products (flour, milk, sugar) should be cheaper than in supermarkets.

Sellers using a high / low price strategy sometimes offer products at higher prices than those of competitors who are supporters of the ESC, but they often hold sales and advertise them actively. The strengths of the high / low price strategy are as follows: the same product is intended for different segments. At the market entry stage, it is offered to "super-innovators" and "innovators" at high prices, and at the end of the season to "conservatives" and "moderate, frugal buyers" attracted by the cheapness of the product.

Although the main retail pricing strategy is most often a combination of the ESC and high / low prices, different price incentives are often offered to shoppers. Very popular tools to attract buyers through price incentives are: coupons, discounts, credit cards, price leadership, multiple pricing, price equalization, odd and non-round prices, etc. All of them are determined by the main pricing strategy.

Coupons are certificates that entitle their holders to a reduced price or other benefit when purchasing a product or service. They are mainly used for consumer goods. Coupons are published in newspapers and magazines (often after advertising the relevant product) they are placed in the mailboxes of consumers, sent by mail, applied directly to the goods, and handed out to passers-by. Coupons inform consumers about a product, encourage them to make purchases, draw their attention to a particular store, strengthening it competitive advantage, increase the intensity of product use. Most often, they try to attract new customers with the help of coupons, attracting a regular customer is not always advisable and even has a negative character, since the total number of purchases does not increase, and the profit from the sale of a unit of goods decreases.

Price discounts are the part of the price that is returned to the purchaser of the product. The retailer carefully calculates the system of price discounts; they are beneficial for him when working with suppliers of products and, under certain conditions, when calculating with end consumers to create competitive advantages.

Plastic cards are used at companies that operate with high mark-ups, which allow painlessly lower prices for any buyer, or at companies conducting an advertising campaign, where a plastic card is viewed as an element of advertising. The card entitles you to a discount for a certain amount or, more often, for a certain or floating percentage with the next purchase. The floating percentage can change its indicators depending on the day of the week, the season, the introduction of additional benefits, or increase in proportion to the amount by which the buyer purchased the goods in the trading company over a long period.

The scheme of club plastic cards differs from the previous method of providing discounts for the next purchase only in that the organization of the club, the schemes and distribution of the cards are taken over by a specialized third-party company (for example, a joint project of the Karusel retail chain and Alfa-Bank - the Magic Visa-Alfa-Bank card, which allows you to pay in any stores, pharmacies, restaurants, beauty salons and other trade and service enterprises all over the world and at the same time accumulate additional points that can be spent in the Carousel network or the Malina accumulative program, which allows you to accumulate points by making purchases at the trading enterprises of this program, including the Cityistor supermarket).

Pricing Leadership (a strategy based on a catchy product) in which the retailer sets prices for certain items below the usual level, hoping that the event will attract additional buyers. This will increase the sales of other products in the store, as the buyer gets the impression that prices are lower in the store than in others. Sometimes these products are called loss-making leaders. Although, in order to be unprofitable, such goods must be sold at a price below cost, which usually does not happen. Consumer goods are used as "inviting" goods, the prices of which are well known to buyers. In supermarkets, for example, eggs, milk, sunflower oil are usually used as "inviting" goods. The “inviting” product strategy is designed for price-sensitive buyers.

Multiple pricing means that similar goods of different weight (volume) are sold at different prices. For example, 100 gr. a package of coffee of any brand will always cost more (in terms of 100 grams of weight) than the same coffee, but in a can of 200 grams. This method is aimed at increasing the volume of sales of goods. Its peculiarity is that it allows buyers to make stocks of certain goods for future use, consider the purchase to be profitable, and ultimately leads to an increase in the consumption of goods by the buyer.

Multidimensional pricing is used to "push" a product and is aimed at getting the buyer to buy two or more products at the same time. For example, in this way: "three for five hundred rubles."

With the price line alignment method, the store offers different levels of predefined price positions. The buyer has to choose between a cheap, or an average price, or an expensive product. Moreover, on the store shelves, goods are grouped by price levels. When purchasing goods, retailers choose those that correspond to the selected price levels. It is easier for the buyer to make a choice, since he does not get confused in a large number of trade marks. It takes less time to buy.

Odd and non-circular prices are a pricing concept with psychological ramifications. Such prices are ineffective for "pre-select" items that require some thought to purchase. (For example, when buying a car, it doesn't really matter whether the buyer has to pay $ 5995 or $ 6000 for it). Buyers associate out-of-round prices with cheap hot goods.

To improve the visual perception of prices, its adjustment is used (for example, setting a price of 499 instead of 500).

2.3 Distribution in trade

Such an element of the marketing mix, as distribution, in the retail sector is of particular importance due to its significance and content. On the one hand, this marketing tool touches on the problem of choosing the location of a particular store, on the other, determining the format of the store (a combination of forms and methods of retail). This problem is faced by the store only at the first stage of the life cycle. Further, the priority problem of this element of the marketing mix becomes horizontal and vertical distribution in the sales area.

The main task of this tool is to ensure the availability (attainability) of a trading service for a potential consumer. Ease of access to the source of a trading service (store) implies not only its location, but also the opening hours. For example, if a potential buyer of a given point of sale prefers to make purchases on the way from work, then if the store is already closed, he cannot use its services in any way, no matter how attracted his assortment, price level or the proximity of the store.

The importance of choosing a location for a future store is predetermined by several reasons. Firstly, location is a significant factor in the attractiveness of a retail outlet for consumers, which influences the decision to make a purchase in this particular store. Second, by choosing the right location for the store, the retailer gains a sustainable competitive advantage.

Unlike such marketing tools as price level, sales promotion activity, brand promotion, a range of services provided, a range of goods that a merchant can easily manipulate, the location of a store is not so easy to change. Often, trading firms have to invest a lot of money in the acquisition and improvement of real estate or conclude long-term lease agreements with the owners of premises. Therefore, the advantage in store location cannot be replicated by competitors. Thirdly, due to the fact that opening a trading enterprise requires initial investment, it is advisable to choose a place for it that will return the invested funds as soon as possible. The profit, which is determined by the volume of sales, may directly depend on the location of the store. After deciding on the location of the store, it becomes an uncontrollable external factor, to which managers must adjust their marketing strategy.

From the standpoint of trade marketing in the algorithm for deciding on the location of the store, several successive stages can be distinguished:

1.First of all, the most attractive regions for doing business are selected (a region is understood as a part of a country's territory or a city).

2.Then it is determined which type of location is best suited for the goods and services that the company offers in the market. (These can be central business districts, shopping malls, or freestanding stores.) Each of these types has distinctive characteristics based on competitive structure, parking options, and other factors, and has a number of advantages and disadvantages.

The Central Business District (CBD) is a commercial area (often in the historic city center), where many trade enterprises are traditionally concentrated and the most important public transport routes intersect.

Among the advantages of the CDR, it should be noted: the availability of location, a wide selection and variety of goods and services offered. Disadvantages of the CDR mainly consist in: inconvenience of access for car owners (layout of the area, traffic jams, parking difficulties); high cost of rent; high tax and tariff rates.

A shopping center (TC) is a planned shopping area under single control or ownership. As a rule, it has a dedicated parking area. The total rental area is distributed in such a way that the stores complement each other in terms of the range of goods and services offered. Typically a shopping center has one or more large stores that will attract the bulk of customers (anchor tenants) and a large number of small and medium-sized retailers. Often, shopping center managers determine the total area that can be occupied to ensure a balance and variety of goods and services. different kinds shops.

The consolidation of a large number of stores under one roof creates a synergistic effect: the shopping center attracts more customers than the same stores individually. Therefore, the sales volume of a retailer located in a shopping center often increases with the arrival of a competing store. A situation that at first glance is paradoxical.

The location of the store in a shopping center has a number of advantages compared to the location in the Central Democratic Center, the main ones of which are: a large number of consumers attracted by a wide variety of goods and services; convenience of location and proximity to the consumer; joint planning and proportional distribution of common expenses; proximity to motorways and availability of parking space.

The disadvantages include: inflexible working hours (retail stores must work only during shopping center business hours); high level of rent; control by managers of shopping centers; restrictions on assortment by the owners of the shopping center;

the possibility of too tough competition; significant superiority of one or several large stores, which will attract the bulk of customers, over small and medium-sized stores.

Detached stores are those that are not adjacent to any other. retailers for example shops that require large areas (wholesale clubs and supermarkets) or located in dormitory areas.

The advantages of this location: no direct competition; low rent; flexibility of the work schedule, no restrictions on design, opening hours and assortment, which are inherent in a shopping center; availability of parking spaces.

Among the disadvantages it should be noted: difficulty in attracting new buyers; lack of synergy with other retail outlets; the imposition of all overhead costs on "one shoulders"; the need in many cases to build a new building.

3.The next step is to analyze the most attractive trading areas. A trade zone is understood as a geographic sector containing potential buyers of a particular trading company or commercial enterprise (part of a city, a city as a whole, depending on the type of store and the density of potential buyers). The size of the trade zone (area) of the store can be estimated based on the use of the retail centralization model.

The main essence of the retail centralization model is that with an increase in the distance from the consumer's place of residence to the shopping center, transport costs, as well as the time spent on purchasing, increase, therefore, the demand for the services of this shopping center decreases. Moreover, the more everyday the product is, the shorter the path that the buyer is willing to travel to purchase it. Conversely, as a rule, consumers are ready to travel long distances to purchase specialized products, since they can only be offered by large shopping or specialized centers.

4.The last stage is the selection of the best of the selected options for a specific location.

To assess the attractiveness of a particular store location, various methods can be used: from simple to complex ones that require multi-level calculations. One of the available techniques is to compile a list of factors that directly affect the level of attractiveness of a particular location for a store location (see Table 2.1.). Having developed a set of defining criteria, the retailer must rate them on a 10-point scale (1 = very poor, 10 = very good) in order to find out how attractive potential store locations are.

Table 2.1. Factors determining the location of the store

Buyers (potential, real) Availability Competition Costs Quantity Income level Cost structure Population density Life style Personal transport Human streams Obstacles (railways, major highways) Terrain type Transport connection Parking Public transport Competition level Types of competing firms The proximity of the main competitors (market leaders, large firms) Construction costs Rent Salary level Tax Transport costs

After the optimal location of the trading enterprise has been selected and its format has been approved, it is necessary to resolve issues related to how the store will look like, how to arrange the sales area and how to achieve the maximum possible sales volume through the layout.

The main problem in developing a store layout is the presence of a large number of conflicting factors. First of all, shoppers must move around the store and buy more items than they planned. When placing goods in the sales area, several factors are taken into account: the optimal use of the sales area space, the optimal location of product groups, the location of the main and additional points of sale, and ways to slow down the flow of customers.

Optimal use of the sales area

As a rule, 40% of the area of ​​a retail outlet is occupied by trade equipment (shelves, refrigeration equipment, racks, etc.), which, depending on the shape of the room, is most profitable. Approximately 60% of the area of ​​a retail outlet must be left for the movement of buyers (ensuring free movement of the buyer around the store, safety rules, etc.) so that buyers feel comfortable.

Location of commodity groups

After determining the type of equipment location at the point of sale, you need to determine the effective location of product groups. When locating product groups, two factors are decisive: priority of space in the sales area, division of product groups into categories depending on their popularity among regular customers.

Priority seats in the sales area are determined depending on the customer flow, i.e. from the path that most buyers take. Product itself High Quality, the most widely advertised and even the most popular product will not sell if its position in the store is poorly matched. In the store, there is a natural direction of movement of buyers, which should be determined at the stage of store design: the location of the entrance, trade equipment in the hall and cash registers. The movement of the flow of buyers should be calculated in advance and selected with the maximum benefit, providing the buyer with as many goods as possible for viewing. Thus, 80-90% of buyers bypass all points of sale located along the perimeter of the sales area, and only 40-50% of buyers bypass the inner aisles. The most "hot" places in this case, the beginning of the customer flow and the checkout area are.

In most cases, when planning a purchase, the consumer clearly defines which product groups he wants to purchase. Therefore, the entire assortment of the store can be divided into three groups:

-Consumer goods.

Buying these items is the goal of virtually every shopper visit to point of sale... They are also called store-forming commodity groups.

-Periodic goods.

The purchase of these goods is planned once in several visits.

-Impulse demand goods.

The purchase of these items is usually not planned.

Since consumer goods are in demand by the largest number of visitors, a fairly large number of buyers accumulate near these points of sale. Therefore, these product groups should be located along the outer perimeter of the sales area in order to make the purchase more convenient. If buyers experience any inconvenience, they will strive to leave the trading floor as soon as possible. Not only does this reduce the time a shopper spends in the store (and therefore reduces the number of impulse purchases), but it can also lead the shopper to visit another store next time.

Location of main and additional points of sale

The main point of sale is the place where all manufacturers of a given product group are represented. Additional points of sale increase the likelihood of purchasing goods. They are an effective tool for increasing sales, because allow you to increase the number of impulse purchases. They are organized for impulse goods and goods with a high turnover.

Slowing down the movement of the buyer.

Too wide aisles and the tendency to arrange racks and counters in a strict geometric order lead to the fact that the buyer does not have time to notice and want to buy any product when he moves from section to section, therefore it is necessary to slow down the speed of the customer's movement in the store. In this case, it is necessary not to reduce the passage, but to narrow it in the middle or at the intersections with other passages. Often used to narrow the passage: display, decorative column, poster stand

A less obvious but equally effective way of slowing down a shopper's movement in a store is by using music. Slow calm music creates a more relaxing atmosphere in the store, encouraging shoppers to take their time and stay in the store. Fast music has the opposite effect - the walking pace becomes faster, which is mainly used during peak hours to speed up the movement of shoppers.

2.4 Promotion in the marketing system of a trading enterprise

The development of a trade proposal for many assortment positions leads to the fact that it is more and more difficult for the consumer to navigate the existing brands and brands, which leads to a change in the basis for the choice of goods by the consumer. Most purchasing decisions are made in the store, which means that the retailer gets the opportunity to actively influence the customer. The specificity of promotion as an element of the trade marketing mix lies in the fact that stores primarily seek to promote their own trade mark, thereby creating a certain image in the eyes of buyers. The most important feature of trade marketing is that here the concepts of "buyer" and "consumer" always coincide, since the buyer of the store's trade service is at the same time its consumer. This is taken into account when carrying out specific promotional activities.

Such an element of the marketing mix, as promotion, traditionally has four components: advertising, personal sales, public relations, sales promotion. However, personal selling in trade marketing is rarely used today.

Advertising. All the variety of types of advertising in trade marketing is divided into three components: outdoor (including shop windows), in-store and media advertising (see Appendix B). The latter is quite traditional and is increasingly used more as a store positioning tool. Most of the innovations in the methods of promotion in Russian retail are concentrated within the first two types.

Perhaps the most effective way to lure shoppers into a store is through the right window dressing. She can not only inform the consumer about the assortment list that is offered for sale, about the price level for it, but also inform about the promotions being carried out at the moment and / or about the status of the store and its customers. At the same time, it is important to change the window design on time in order to avoid getting used to the contact audience.

Experts divide all showcases into several types: front (traditional) - classic (with a blank wall) or through (the hall is visible); demonstration - located in the sales area to get acquainted with the products at a close distance in the conditions of an individual type of customer service; trade - the actual counter with glass panels (see Appendix E).

Recently, front showcases are not so much advertising a store as they are focused on selling a specific product. Often, the store rents out space in the showcase or allows it to be decorated in the manufacturer's corporate style. But in any case, when decorating shop windows, it is necessary to take into account at what distance the main streams of potential buyers will move from the point of sale. If this distance is at least a few meters, it is worth using the entire area of ​​the display case. If the prospective consumers pass in the immediate vicinity, the lower third of the showcase will have the maximum communicative impact.

It aims to stimulate consumer choice inside the sales area and in the entrance area. POS materials placed in the entrance area are, as a rule, “open / closed” signs, stickers (floor or wall stickers of an indicative nature) with the operating mode, inscriptions “on your own / on yourself” or advertising posters. In addition, the POS design elements of the entrance group include floor stickers placed directly in front of or behind the entrance door, for example, with the phrase "welcome" or indicating the path to a specific sales department. The entrance group is especially important for influencing the buyer. Firstly, almost everyone can see the POS materials posted here. Secondly, this is the point at which the customer receives the last reminder just before they enter the store, as well as after leaving it. Actually in the trading floor there are posters, brochures, catalogs, large bright price tags (they depict the product of a certain type, its packaging), wobblers (a small dense poster with a company logo or a brand image, movably attached to the counter), stickers, announcements on a stand , which are usually mounted on the edge of an open refrigerator, light boxes (a three-dimensional image of the trademark glowing from the inside and suspended from the ceiling above the display area), counters on the counter with an image of the assortment (especially common in the ice cream segment), displays (usually placed above the cash register or above counter in the direction of the customer's movement), ice-stoppers (eyes-stoppers) are large suspended and "standing" models of goods (see Appendix B). Advertising on food carts is very effective - the image is placed in special pockets on the end of the cart from the inside and outside. Advertising on grocery carts differs from other types of visual advertising at the point of sale by good indicators in terms of the number of contacts with the buyer (especially during peak hours, when the maximum number of carts is used) and its dynamic nature (carts do not stand still - the image flickers in different places and at different lighting, which increases the efficiency of his interaction with the buyer). The inner surface of the cart wins in terms of the duration of contact with a specific customer, the outer surface - in terms of the number of contacts with various customers. The disadvantages include the small size of the image, which entails the difficulty of using the carrier in the information aspect.

Evaluating the effectiveness of store advertising requires taking into account the specifics of the retail trade. This distribution link is the closest to the buyer, it is easier to track the client's reaction, to analyze the change in the flow of buyers before the advertisement is shown, during the advertising campaign and after it. Having information from its scanning devices at the checkout, the store has the objective ability to quickly and adequately respond to the reaction of customers to advertising, and therefore, adjust the promotion campaign as needed, up to termination.

To reflect the influence of advertising on the economic indicators of the effectiveness of an advertising campaign, there are many specific indicators at the disposal of stores. These include: the average price of one check, average revenue, the number of buyers, the number of people who came but did not buy. All these indicators, in addition to advertising and sales promotion, can be influenced by other processes. However, they can be used to track the trend of the influence of advertising on consumer behavior and the financial results of a retail trading company. Retailers most often determine the effect of advertising by measuring its impact on changes in turnover. Moreover, in different trade enterprises, the effect may differ in terms of time. In convenience stores, the increase in turnover, as a rule, occurs immediately after the activation of advertising. If the store sells expensive goods or durable goods, then a long period of time may pass before the buyer comes to it. Therefore, the effect of advertising, i.e. purchase and, consequently, an increase in turnover, does not appear immediately.

Increasingly, trade marketing focuses on building sustainable public relations. It is important for stores that potential buyers have a favorable attitude towards them, so they try to conduct events aimed at creating in these people the impression of the seriousness of intentions and of being attentive to them.

Within the retail trade, the following goals of sales promotion can be distinguished:

1.making an unplanned purchase;

2.an increase in the number of initial purchases;

3.increased frequency of secondary purchases;

4.an increase in the volume of a one-time purchase.

In a retail setting, sales promotion typically involves an immediate response from customers. There are many incentive methods. Among them, several basic ones can be distinguished as the most frequently used:

-the establishment of special working hours (at this time, special conditions apply for the purchase of goods);

-formation of a system of discounts (distribution of coupons, introduction of customer cards, club system, etc.);

-organization of promotions at the point of sale (demonstration of the action or use of the product, tasting, lottery, etc.).

Promotion (sales promotion) includes any paid non-personal marketing communication activities, other than advertising, that provide a set of incentives to achieve the desired result from potential buyers, resellers or sellers. Sales promotion campaigns always add value to the product, as incentives are usually not accompanying the product, but offered through direct mail or coupons to be cut from newspapers, etc. Promotional campaigns are usually used as a temporary retail offer to a customer in order to get an immediate response from the customer. For example, free samples or discounted vouchers and offers are often used in sales promotion campaigns for companies that need to increase demand at certain times. These campaigns are often accompanied by tradeshows, competitions, sweepstakes, coupons, frequent user loyalty programs, prizes, demos, screenings, and gifts aimed at boosting short-term sales. Many incentives are only planned on a short-term basis.

3. Development of a marketing complex for the Pyaterochka retail chain

.1. Organizational and economic characteristics of the Pyaterochka retail chain

In 2010, the consumer model of Russians completely changed, they reduced their spending on expensive goods and pleasure, and began to save on food. Consumer behavior has become more conscious as the incomes of Russians have decreased. In addition, unemployment continues to rise, especially in the industrial regions of the country. As a result, low price segment goods began to be in increased demand, which affected the range of chain stores.

Large-format retail has lost its leading positions and yielded to such a format as a discounter. Number of discounters in 46 regions Russian Federation surveyed by the Consulting Department of RBC, grew by 16% compared to 2009, which occurred both due to the opening of new stores and due to the reformatting of the retail space already owned by retailers. The leading positions in this format are occupied by the Pyaterochka retail chain X5 Retail Group N.V.

Pyaterochka is the largest Russian supermarket chain economy class- founded in January 1999 by Agrotorg LLC. The idea was to create a chain of stores similar to those that exist in the West, but adapted to Russian conditions. European convenience stores and discounters, such as, for example, the German retail chain Aldi, were taken as an example. By the beginning of 2000, the company had 17 stores with a turnover of $ 35 million. During 2000, it tripled its annual turnover and became the winner of the national rating "Top-200 Russian retail trade" in the nomination "The best retail chain of the North-West". In July 2001, Pyaterochka opened the first economy class supermarket in Moscow. In 2001, the company opened more stores than all similar Russian companies combined. In 2001, Pyaterochka's turnover amounted to $ 212 million, and the number of buyers exceeded 100 million.

In 2001, Pyaterochka began construction of the largest office and logistics center in the North-West with an area of ​​about 30,000 sq. M. meters, this made it possible to reduce logistics costs by more than 30%, and halve the volume of used space.

In 2003, Pyaterochka significantly increased the growth rate of its chain of stores. If in 2002 62 stores were opened, then in 2003 the increase was 118 stores. In 2003, Pyaterochka's turnover exceeded $ 933 million. This is the highest indicator among both retail and wholesale food and consumer goods companies in Russia. In 2003, there were 300 million purchases in Pyaterochka supermarkets. This is tantamount to the fact that every resident of Russia has been a buyer of Pyaterochka twice.

Similar work to - Features of the retail marketing mix